California nicks New Mexico for an EV plant

By Brendan Moore

06.30.2008

Tesla Motors has backed out of building their mass-market EV sedan in New Mexico, and in a surprise move, has announced that they will set up their factory in the San Francisco Bay Area. The company said it plans to be producing their $60,000 USD sedan before the end of 2010. The announcement was made by company officials standing next to a beaming Arnold Scharzenegger, governor of California, and Bill Lockyer, State Treasurer.

“We want these cutting edge companies not just to start in California and do their research and development here. We want them to build in California,” said Schwarzenegger, who toured the Tesla headquarters with Lockyer and Victoria Bradshaw, Secretary for the California Labor and Workforce Development Agency today before his announcement.

The possibility that Tesla, a California technology start-up that has gotten a lot of positive press, would build their cars in New Mexico “drove me absolutely insane,” said the governor, who is on the waiting list for a Tesla Roadster. “I wasn’t about to let the company that makes the world’s sexiest, and best high performance electric car go to another state”.

For his part, Tesla CEO Ze’ev Drori said, “We are not a mere niche player with a car to the rich and famous. We are building high-volume zero emission vehicle manufacturing in California for a midsize family sedan in California and we are not going to stop there.”

The sedan, previously called Project Whitestar internally, will be marketed as the Model S. Although the Tesla Roadstar will sell for around $109,000 and the Model S will retail for a forecast $60,000, the company is also promising an EV that will retail for less than $30,000 in less than four years from today’s date.

In what can only be characterized as an amazing coincidence, just last week the California Alternative Energy and Advanced Transportation Financing Authority, which Lockyer chairs, put into place a program exempting makers of zero-emission cars from paying sales and use taxes on equipment. The deal worked out with Tesla calls for the state to actually purchase the $100 million dollars worth of equipment for the assembly plant, and then subsequently lease it to Tesla under a lease-purchase agreement. Tesla will not have to pay sales tax on that equipment once Tesla buys it at the end of the term when they exercise the purchase option of the lease. Did you get all that?

These financial gymnastics will save Tesla about $8 million on the $100 million worth of equipment, Lockyer said. The company also is eligible for at least $1 million in training funds. Schwarzenegger also mentioned that if the company were to locate their production facility in one the areas in the region designated as California Enterprise Zones, it could see substantial additional tax breaks. Some of the cities in the Bay Area that are in those zones are Oakland, Richmond, and Watsonville.

This nice little coup for California was met with some unhappiness in New Mexico, where the state Economic Development Secretary Fred Mondragon took Tesla to task in a press conference for leaving his state at the altar, but it was fait accompli by the time the government of New Mexico found out about it. It looks like California will be home to an important mass-producer of electric vehicles.

COPYRIGHT Autosavant.net – All Rights Reserved

By Kevin Miller

06.30.2008

My first driving experience with the Evolution GSR was not a great one. I climbed in to its very deep Recaro bucket seat, adjusted my mirrors, and lurched away as I tried to smoothly engage the clutch for a quick trip to the grocery store. On my short trip over poorly-maintained suburban roads, I found the suspension to be unforgiving, though the steering was go-kart direct. I was not impressed.

My next trip wasn’t much better. I took my 4-months-pregnant wife and our 3 year old daughter in the Evo to a friend’s house. My wife though the car rode poorly, the interior was too somber, and the seat was too confining. A bonus complaint came when she had to clamber out of the low Recaro. After the ride home, she didn’t ride in the Evo again for the remainder of my week with the car.

Based on these 2 drives, I was a bit apprehensive to take the powerful Lancer on a 3-hour road trip from Seattle to Portland. But I am so glad that I did. Driving the Lancer on that trip highlighted its strengths… one of which was that Recaro I first disliked.

On a long drive to Portland, a longer return via the Columbia River Gorge and Mt. St. Helens, and a subsequent round-trip to Washington’s San Juan Islands, I found the Recaro bucket seat to be supportive and very comfortable. Neither my long legs nor my backside ever fell asleep. The very deep side and bottom bolsters made it feel as though the seat was giving me a big hug every time I sat in the car. And I really liked that. The bolsters did a good job holding me in place in the twisties, too.

I found that the Lancer Evolution GSR gets better the faster it is driven and steered. When running errands in the suburbs, it’s for crap. But out on the open road, where 60 MPH is approximately 3000 RPM in 5th gear, and 80 MPH is almost 4000 RPM, throttle response is strong and nearly instantaneous. At those speeds, the steering wheel feels connected to your mind, tracking straight down the road until you think about changing lanes or rounding a sweeping bend, which the car does with amazing accuracy.

While the Evo’s firm, communicative suspension makes for a rough ride around town, it is the driver’s best friend out of town. When driving up Columbia River Gorge and around Washington State’s Mt. St. Helens, the Mitsubishi conquered some absolutely deserted, very twisty roads without even emitting faint tire squeal. The huge amount of grip and the feedback through the steering gave me all the confidence I needed to pilot the car through the unfamiliar and challenging terrain like a much better driver than I truly am.

The Evo’s high fun factor on road trips made me want to never stop driving. I filled the car up twice in the same day, burning through 12 gallons of premium unleaded in about 5 hours. I ended up driving over 700 miles in my week with the car, and I enjoyed all of the miles except for the ones I drove in the ‘burbs.

One thing to know about driving the Evo is that it is loud. You hear the motor, the drivetrain, and the road. Fortunately, the optional 650 W Rockford Fosgate stereo with Sirius satellite radio and 6-disc in-dash changer is even louder. It’s better than the premium sound systems in either of the “nice” cars my wife and I own, it has GREAT sound quality/clarity, and tons of volume to drown out the healthy amounts of road and powertrain noise served up by the car. Unfortunately the satellite radio doesn’t work very well; when driving on the freeway at 60-80 MPH, the sound cuts out momentarily about 2 seconds after passing under overpasses. Somehow Mitsubishi didn’t include enough of a buffer to account for that problem. The stereo’s red LED pixel radio display reminds me of the one found in a Mazda3, though it is configured such that many different angles of sunlight entering the car can totally wash out the display. The other electronic info display, the one between the gages is always clear though a bit counter-intuitive to use; I accidentally reset the service reminder on the test car as a result.

The Evo is rated 16/22 MPG. I saw about 23 MPG on each of my fill-ups after long freeway drives. Each fill-up required around 12 gallons of premium unleaded gasoline.

The Lancer Evolution had adequate room in the back seat for a forward-facing child seat, though it was easy for my three-year-old to kick the front passenger seatback. I don’t think a rear-facing child seat would fit very well. The trunk is pretty small and doesn’t include a pass-through to the back seat, because the area between the trunk and the back seat houses the battery and the washer fluid reservoir. My Evo with the upgraded sound system also had a huge sub woofer taking up trunk space. The small trunk that remains is has a felt-like bottom mat which slides around on the trunk’s wooden sub-floor during spirited driving; after my Mt. St. Helens drive the trunk mat and my cargo was all bunched up together in one corner of the trunk.

My Wicked White test car with its black (faux-alcantara) fabric interior, 2.0 liter turbocharged 4-cylinder engine, 5-speed manual transmission, Brembo brakes, automatic climate control, aluminum roof, hood, and front fenders, and standard 18″ alloy wheels has a base MSRP of $32,990. The $2000 “Sight Sound and Spoiler” Package added HID headlamps, the aforementioned 6-disc, 650 W stereo with Sirius, large rear spoiler, and Fast Key keyless entry/start system, making the total price of my tester (including $625 destination) a fairly serious $35,615.Which is probably just fine, because the Lancer Evolution GSR is seriously fun to drive.

COPYRIGHT Autosavant.net – All Rights Reserved

By Chris Haak

06.30.2008

Note: Part 1 of this article, from A through F, can be found here.
Part 3 of this article, from N through V, can be found here.

Our series previewing the 2009 model year continues today, starting with letter H – Honda. The this preview includes all vehicles that are new or significantly changed for the 2009 model year, including any early 2009 models already on the market.

Honda
Honda as an automaker generally tends to have a pretty steady product cadence. They don’t blitz the market with a series of new models one year, only to have almost no new products the next year. Instead, most of the lineup is on about a six-year redesign cycle, and the current life cycles are fairly well spaced out. In the past few years, we’ve seen the Odyssey (2005), Ridgeline (2006), Civic (2006), CR-V (2007), and Accord (2008) redesigned or introduced. For the 2009 model year, it’s the Pilot midsize crossover’s turn.

The all-new 2009 Pilot, although still a very conservative shape as the first generation (sold from the 2003 through 2008 model years), is just a different conservative shape. The new model actually is even boxier in appearance than the old model. Frankly, I think Honda really dropped the ball with the Pilot’s redesign. The old model sold well in spite of its looks, and it appears that the new one will have to do the same thing. The grille is particularly unsuccessful, but the rest of the vehicle is strikingly reminiscent of a Jeep Liberty.

Inside, however, is a different story, with additional passenger space, comfort features, and technology. The Pilot also gets more power and torque, and slightly better fuel economy. It’s hitting dealers right now.

The other big news from Honda is actually small – the very popular Fit subcompact is all-new for 2009. The Fit has only been sold in the US since the 2007 model year and – thanks to high fuel prices and its reputation as a fun-to-drive, flexible little car – has exceeded Honda’s sales expectations. The new 2009 model adds a bit more passenger space and interior flexibility, some additional technology such as an integrated navigation system, and by all accounts, maintains the handling prowess and fuel economy of the old model. Also, while the appearance is definitely evolutionary rather than revolutionary, I greatly prefer the design of the 2009 model, which has a more attractive headlight design, as well as a better looking D-pillar shape, and better proportions thanks to its slightly wider track.

Hummer
It’s a slow news year for Hummer, the brand likely to be unloaded by General Motors in the next few months. However, Hummer will press on with the previously announced launch of the H3T four-door pickup, which will combine a four-door cab with a somewhat-functional five-foot bed (the much larger H2 SUT “pickup,” in contrast, offers only a three-foot bed and the ability to allow cargo to enter the cab via an Avalanche-like midgate). Engine choices for the H3T mirror those in the H3 SUV – either an inline five cylinder or a small block V8.

Hyundai
Hyundai enters 2009 with a heavily revised Sonata midsize sedan, with most of the work applied to the car’s interior, where it was heavily improved in an effort to match or surpass the competition in a very tough segment. Many reviews have praised the results of the Sonata’s tweaks, which also include two new engines (a four cylinder and a V6), which both offer more power, better fuel economy, and fewer emissions.

Hyundai’s biggest news, of course, is the launch of its Genesis sedan. As the name implies, the Genesis means a new day for Hyundai, which is selling its first rear wheel drive, V8-powered vehicle in the US. There will be three very competitive engine options – a 3.3 liter V6 (264 horsepower), a 3.8 liter V6 (290 horsepower), and a 4.6 liter V8 (375 horsepower). Hyundai’s intent is to compete with three BMW models at once – the price of a 3-series, the size of a 7-series, and the driving experience of a 5-series. The car certainly has everything it needs on paper, from a ZF six-speed automatic when the V8 is chosen, to adaptive front lighting and adaptive cruise control, to a Lexicon Audio System featuring 17 speakers. Pricing will start around $33,000 for a V6 and at around $38,000 for a V8, which is far below import competition such as the Infiniti M35/45 and Lexus GS350/460, but above domestic competition such as the Chrysler 300C and Pontiac G8. The largest obstacle that Hyundai will have to overcome with the Genesis is that the company made the strategic decision to launch the car without a separate luxury sales channel. That means that the same dealer who has an $11,000 Accent in the showroom will also be hawking very credible, expensive luxury cars. Chevy has a similar issue with the Aveo and Corvette, but the Corvette is more like a bang-for-the-buck sports car rather than a luxury car.

Lastly, Hyundai is launching the Elantra Touring, which is an extension of the Elantra line. The (non-Touring) Elantra was launched for the 2007 model year as a four-door sedan, and the Touring model is basically an all-new body that adds a wagon-like rear end, far more utility and cargo space, and a more attractive (if more derivative) body. Hyundai claims best-in-class interior volume and cargo capacity. Power comes from a 2.0 liter four cylinder shared with the Elantra sedan.

Infiniti
Nissan’s luxury brand, Infiniti, moves into the 2009 model year with just one all-new model – the second generation of the FX on-road SUV. The FX is on sale now, and is available with either a 3.5 liter V6 (FX35) or a new 5.0 liter V8 (FX50). The FX gets an all-new seven-speed automatic transmission with either engine, and gains significantly upgraded interior materials and design, as well as nearly every technology available in cars today (which is appropriate, since the FX is Infiniti’s flagship with the absence of the Q from the lineup). Techno-goodies include the Around View Monitor (also available on the EX35), Intelligent Brake Assist, Distance Control Assist (for heavy traffic), and a hard disc-based navigation system that is coupled with XM’s NavTraffic service.

Jaguar
As a brand with a very limited lineup – basically, three models at this point – all-new models for Jaguar only occur once every few years. To that end, the 2009 model year marks the debut of the new Jaguar XF, which replaces the S-type in the brand’s lineup. The XF, in a major departure from tradition, looks very little like Jaguars of the past (while still maintaining several styling cues that hearken back to the 1950s and 1960s), and instead cuts a very modern silhouette, with little of the “Olde English” luxury that marked the brand’s vehicles for much of its history. Jaguar was clearly aware that they had to do something to rejuvenate the brand, as continuing to trot out “all new” models that looked almost identical to the models they were replacing (in spite of more modern chassis and drivetrain components) caused Jaguar sales to slide for the past several years.

The XF, which was launched this past spring as an early 2009 model, has already become Jaguar’s best-selling vehicle, and for good reason. The car’s modern shape is perfectly complemented by an interior that combines high-tech lighting, electronics, and modern materials to finally move the Jaguar brand into the 21st century. Buyers of the XF will have the choice of a 300-horsepower 4.2-liter V8 or a 420-horsepower supercharged version of the 4.2 liter V8.

Kia
Like the new Ford F-150 and Dodge Ram (or even the 2008 Pontiac G8, for that matter), the Kia Borrego is probably the right vehicle at the wrong time. In a market where midsize body on frame SUVs such as the Chevrolet Trailblazer and Ford Explorer is in freefall, Kia is launching its entry into the segment. The Borrego will offer three-row seating, either V6 or V8 power, and the ability to tow up to 7,000 pounds when properly equipped. Its design isn’t offensive, but it’s also not breaking any new ground. In profile, the D-pillar treatment is reminiscent of the Isuzu Ascender. My best guess for the reason midsize SUV sales have suffered even more than fullsize SUV sales over the past few years is that midsizers offer the same poor fuel economy as the full-size ones, yet less capability. Basically, the folks who truly need an SUV for heavy towing or hauling a large family have continued to buy them, but the “pretenders” (and I was one of them for a few years with a 2005 Pathfinder) have moved onto more practical vehicles such as crossovers, that offer more utility and better fuel economy, at the expense of some offroad capability that probably wouldn’t have been used anyway. The V8 Borrego’s fuel economy numbers haven’t been published yet, but the 4×4 3.8 liter V6 model is rated at 16/21, which tops the 2008 Pathfinder V6 4×4’s and Trailblazer I6 4×4’s 14/20 ratings.

Lincoln
As Lincoln moves to take over the bulk of volume in Ford Motor Company’s Lincoln-Mercury channel, the brand adds a new flagship sedan for the 2009 model year, the MKS. Although the MKS won’t be as large as the antediluvian Town Car (which will continue to soldier on for the next few years, primarily for fleet/livery duty), it’s going to pack far more modern technology and comfort features into its Taurus/Sable/Volvo S80-based platform. All wheel drive will be available (front wheel drive is standard), and power in the first year comes from a 270-horsepower 3.7 liter V6. The MKS, despite its unfortunate name, looks to be a winner for Lincoln so far, with 10,000 pre-orders placed for the car already, prior to its upcoming launch. I sat in the car in Detroit, and it is a very attractive car with a very luxurious, high-quality interior. The interior materials and design reminded me of the 2008 Cadillac CTS, though maybe a half step behind design-wise. The cars compete in different classes, but it appears to be that good.

Mazda
Mazda’s well-regarded but slow-selling Mazda6 midsize sedan is all-new for 2009, and like so many other vehicles, it’s larger, heavier, and more powerful. Instead of residing in the “slightly smaller, lighter, and sportier than the Camry/Accord” niche, the Mazda6 for the US now moves right into the thick of those models’ dimensions. The result is a car that loses its lithe shape and trades it instead for the puffiness that the Camry suffers from. Still, photos of the car show it to be attractive and well-equipped, with a really nice interior. More so than many automakers, Mazda worries about the details and the design, and the new 6 illustrates that with touches such as styled exhaust outlets and a nicely-integrated center stack. Power comes from either a 2.5 liter four cylinder or a 3.7 liter V6 shared with the CX-9 crossover. Other than its inability to hide the extra size externally, the only unfortunate aspect of the new design is the tapered roofline over the rear seat, which is a bit too reminiscent of the Toyota Prius’ roof treatment. Still, if I was in the market for a car in this segment, I’d definitely give the Mazda6 some serious consideration.

Mitsubishi
Mitsubishi has had a few rough years in the US market, even having to fight off rumors that the company was going to leave the US altogether. Some well-designed, popular new models have helped reverse the brand’s fortunes to a certain degree, specifically the Outlander small crossover and the Lancer compact sedan. One model missing from the Lancer lineup until the 2009 model year was a model to bridge the gap between the more pedestrian economy-oriented Lancers and the technology-laden (and expensive, and hard-edged) Lancer Evolution. Basically, Mitsubishi lacked a direct competitor to the Subaru WRX, while the Evo competes with the Subaru STi. However, this situation is remedied with the new Lancer Ralliart. The Lancer Ralliart is powered by a 235-horsepower 2.0 liter turbocharged four cylinder, coupled to an all wheel drive system and teamed with Mitsubishi’s twin-clutch transmission. The Ralliart model will not only slot between the Lancer and Lancer Evolution in terms of power and performance, but also in terms of price.

Part 1 – from A (Acura) through F (Ford) can be found here.
Part 3 – from N (Nissan) through V (Volvo) can be found here.

COPYRIGHT Autosavant.net – All Rights Reserved

By Andy Bannister

06.29.2008

Many car enthusiasts will be cheered by the news that a regional court in Munich – BMW’s home city – has ruled that a Chinese 4X4, the Shuanghuan CEO, cannot be legally sold in Germany because it infringes BMW’s design rights.

The car’s German importer, China Automobile Deutschland, which has been battling to get the vehicle on to the market, had denied the charges that the CEO too closely resembles BMW’s premium X5, particularly from the rear.

Stylistically, looking at picture of the CEO, there’s no doubting the logic of BMW’s case, although in price, performance and quality the two vehicles are miles apart.

Even if the Chinese product is very different underneath, how a vehicle looks is critical – which was no doubt the reason Shuanghuan settled on the styling in the first place.

The ruling could signal that global automakers are ready to take a tougher line against alleged plagiarism of their designs by a plethora of recently-established automakers in China.

That country has seen sales expand at an unprecedented rate as consumers hungry for western-influenced products go-car crazy. Imports have soared but they are totally eclipsed by local production, which for cars alone was up almost 22% last year to over 5.2 million units.

Established car companies across the globe are scrambling to keep up and unsure how to cope with the sheer energy of China and its insatiable desire for cars, mostly home-grown but often inspired by foreign designs. Toyota last year decided not to take action against the maker of China Automobile Deutschland’s other product offered on the German market, the UFO. This closely resembles the previous-generation Toyota RAV4.

Other Chinese products which have raised a few eyebrows include the BYD F1, a design which bears a remarkable similarity to Toyota’s Aygo minicar sold in Europe. BYD also makes a larger model closely resembling the Chevrolet Lacetti/Suzuki Reno. A slightly more pastiche approach has been taken by the Lifan 520, a five-door hatchback – series production of which begins in September – which uses many design features of another BMW Group product, the Mini.

Chery’s QQ also was the subject of a legal case claiming it was a copy of the Korean Daewoo Matiz minicar, and while the car remains on sale it cannot be exported to certain markets.

Years ago when Japanese cars were still establishing themselves it was quite common for their designs to ape the appearance of popular European models, but their efforts were at least an interpretation of the original design, not a near-identical lookalike such as some of the Chinese manufacturers produce.

So far China’s automakers have barely scraped the surface as far as export potential to western markets are concerned. This ruling – and other setbacks over poor safety standards – could delay the onset of the flood but there remains little doubt it is still coming.

COPYRIGHT Autosavant.net – All Rights Reserved

By Mike Mello

06.27.2008

“I hope he doesn’t break anything…” is what the announcer said, right before a Toyota Tundra pulled the sled out the back door of a recent truck pulling event in Swanzey, NH. The glossy blue Tundra was competing in the street-legal class and bested an F-350 diesel that, in all fairness, was at least a couple years old. However, you could almost hear the comments in the stands before the Tundra hooked up, about how the Toyota probably wasn’t up for the job. Judging by the amount of other Tundra pulling videos on YouTube, it’s safe to say that the latest Tundra is prepared to take on any vehicle in the street-legal classes of truck pulling.

In these two videos, it’s unknown if either truck had any bolt-ons or otherwise custom work done to their respective drivetrains. Who knows if one driver had more experience than the other in pulling? The difference in the two pulls was a matter of about 20 feet. It appears that the Tundra gathered a little more momentum in the early stage of the pull which might have helped it at the top end of the track.

Maybe the F-350 driver selected the wrong gear? Perhaps it was just a matter of tires and traction? Any number of reasons could be suggested for why the Tundra twice made the pull look easy. Maybe what’s interesting is that truck commercials could do without all the CGI and improbable stunts. How about some homegrown video of trucks proving their mettle?

Getting back to the Toyota vs. Ford issue at hand, on the day of this particular contest, the Tundra appeared to be the newest vehicle hooking up to the sled. The Dodges and GMs of the day didn’t come close, but, again, who knows if any of these drivers had ever competed before. I just wonder if the ranks of Tundra drivers are going to grow to Super Duty proportions? Is it possible? You probably know at least one convert in your town and if the Tundras keep pulling their way to the front of the pack then what are we to expect? It’s just obvious that trash-talking the import isn’t going to hold up anymore.

COPYRIGHT Autosavant.net – All Rights Reserved

Columbia River Gorge and Mt. St. Helens

By Kevin Miller

06.27.2008

Columbia River Gorge

Washington and Oregon have diverse geography which leads to an abundance of roads that are great fun to drive. When I lived in Portland I discovered the following route that follows the Columbia River Gorge east from Portland, and skirts Mt. St. Helens. I had the good fortune of finding myself in a 2008 Mitsubishi Lancer Evolution GSR with several hours to spare in addition to the time I had allotted for a drive from Portland to Seattle, so I decided give the Evo a workout. Here’s the route:

From I-5, take Washington’s SR-14 east past Camas. After passing through Washougal, you enter the Columbia River Gorge National Scenic Area, where SR-14 follows the Columbia along the route traveled by Lewis and Clark on their storied expedition. You will pass Beacon Rock, Skamania, the Bonneville Dam, and the Bridge of the Gods. About 3 miles past Stevenson, look for the left turn to Carson. Follow Wind River Road through Carson and on north toward Mt. St. Helens, you will enter Gifford Pinchot National Forest. About 27 miles north of Carson, turn Left onto National Forest road named Curly Creek Road (NF-51). This will lead you to NF-90, which you follow to its intersection with NF-25. Turn left to stay on NF-90 toward Cougar, and follow it until it leaves the National Forest, where it becomes SR-503 Spur. This state highway will lead you back to SR-503 which can be followed past Lake Merwyn to Woodland and I-5, about 22 miles north of where you started. On a hot day, a swim in Lake Merwyn (on SR-503) is incredibly refreshing after a couple of hours on the road. The entire route is around 130 miles, and will take about 3 hours.


View Larger Map

If you want to continue north toward Tacoma or Seattle on this drive, instead of heading back toward Portland, do the following: when you reach the intersection of NF-90 and NF-25, turn right onto NF-25 instead of turning left as described above. Follow NF-25 north (it changes names to SR-131 (Woods Creek Road) when it exits the National Forest). This will lead you US-12 in Randle, where you can head east to I-5 or east toward White Pass and Mt. Rainier. I had hoped to follow this route, but even on 23 June, the snow hadn’t melted off of NF-25, so it was closed about halfway between NF-90 and Randle. Which leads us to an important note about this route.

Many of the National Forest roads in this area will be snow-covered in winter and are subject to seasonal closures, so be sure to check conditions before setting out on this drive. Because you will be in a remote area which is lightly traveled and lacks cell phone coverage, be sure to prepare yourself by having a full tank of fuel, and packing snacks and warm clothing as well as a good map of the area, just in case you have any mechanical trouble. All of the roads on this route are paved, though the National Forest roads seldom have fog lines or guard rails, sufficing with only center-line striping and undulating pavement. The tight corners and narrow roadway make this best suited to a nimble, lightweight car.

Mt. St. Helens

On the Monday evening I traveled this route, I went over an hour without seeing another car on my route while on Wind River Road, NF-51, and NF-90. It was just me and the Mitsubishi, with its turbocharger whistling, brakes working, tires gripping, and suspension soaking up the uneven road. It was nearly perfect.

COPYRIGHT Autosavant.net – All Rights Reserved

Odds and Ends about Cars and the Car Business

By Brendan Moore

06.27.2008

HOME buyers and apartment renters say that they would like to live closer to work in increasing numbers. The number of people considering a move to a city has also jumped way up. The reason, of course, is $4 a gallon gasoline. In just one example of many, a recent survey of 900 Coldwell Banker agents showed that 96% of those agents said that rising gas prices were (surprisingly) a concern to their clients, and a just as surprising 78% of those clients said higher fuel costs are increasing their desire for city living. Here at Autosavant, we have also noted the same sentiment from consumers about moving. When we’ve asked them about what car they’ll buy next in the face of $4 and up gasoline, many of them tell us the sort of vehicle they have in mind and then throw in, “and I’m thinking about moving a lot closer to work, too”. Most consumers now seem to believe that gasoline will never be cheap again, and most of that group believes that the price of gasoline will rise further in the years to come. They are making their decisons about transportation and residence location accordingly.

$7 a gallon gasoline will be a reality in the U.S. in 2010, according to a new forecast out this week from Jeff Rubin at Canadian brokerage CIBC World Markets. But Mr. Rubin did not confine his remarks to just that forecast. He also said: “Over the next four years, we are likely to witness the greatest mass exodus of vehicles off America’s highways in history. By 2012, there should be some 10 million fewer vehicles on American roadways than there are today—a decline that dwarfs all previous adjustments including those during the two OPEC oil shocks.” Mr. Rubin says that gasoline at $7 a gallon begins to approach what Europeans pay for gasoline, and when that happens, a lot of Americans will start acting like Europeans, that is parking their cars. Mr. Rubin estimates that 57 million households in America that have access to some level of mass transit will start using that mass transit as much as possible, particularly if they are lower-income. He goes on to say, “Our analysis suggests that about half of the number of cars coming off the road in the next four years will be from low income households who have access to public transit. At their current driving habits, filling up the tank will have risen from about 7% of their income to 20%, an increase that will see many start taking the bus.” And what about the lower-income people that don’t have access to mass transit? Mr. Rubin doesn’t spend a lot of time on them, but our take-away is that they are going to be in a very, very bad way if this forecast proves out.


VW said it has started selling its Lavida sedan in China. The Lavida, based on the automaker’s fourth-generation Golf model, and set to replace the aging Santana model, is the first model entirely designed and developed by its Chinese joint venture, Shanghai VW. The launch of the Lavida sedan was announced to much fanfare at the Beijing auto show in April. VW expects sales in China to go over 1 million vehicles this year.

CHRYSLER fought off rumors of impending bankruptcy by releasing a statement saying stories that the company was close to insolvency were “without merit”. Chrysler lost $1.6 billion in 2007 but has previously stated that it closed out the year with $9 billion in cash. Its U.S. sales in 2008 are getting killed, falling 23 percent so far this year. Chrysler activated a $2 billion credit line from Cerberus and Daimler AG earlier in the week. Under the terms of their sale from Daimler AG to Cerberus, Chrysler had until August to draw on the blended credit line, which included a lion’s share $1.5 billion contribution from Daimler. The credit line requires Chrysler pay interest fixed at 7 percentage points above the London interbank rate, Daimler noted.

GM is getting knocked around pretty good in the markets this week with their share price dropping to lows not seen since the mid-70’s. Goldman Sachs issued a report on GM, saying, “”We expect GM shares to continue to under perform as market fundamentals deteriorate which exacerbates liquidity concerns. We think GM’s automotive cash flow burn this year and next is likely to lead it to look to raise capital, which we believe could lead to significant shareholder dilution and/or a cut to the company’s dividend.” GM was on the road back to recovery until the recent gas crunch, and they must be wondering just what kind of bad magic has hit them. The Hummer brand is a definite goner and GMC may be next at this rate. GM will start to realize massive savings from their reduced labor and healthcare costs in 2010, but the question now is whether they can make it until then. Regarding same, David Cole, chairman of the Center for Automotive Research was quoted as stating, “The big question is whether they have enough cash to make it from here to there. It is going to be tough, and it depends on the economy. Once they start to realize their labor savings, we may see profits increase like we have never seen from GM.”


HONDA had planned on selling 30,000 2009 Fits in the U.S. That turned out to be far short of what consumers were demanding. So they upped production to 60,000 units. That wasn’t enough, either, so now Honda has increased production of the Fit to 80,000 and says that will have to be enough because there is no more production available after that number. Worldwide capacity of the Fit (Jazz and City in Europe) is 500,000 units. Every Fit sold in the U.S. is made in Japan. The 2008 Fit costs $14,620 USD base price and gets 34 mpg on the highway and 28 mpg in the city. There is currently an average three-month waiting list for a Fit at most metro area Honda dealerships.

COPYRIGHT Autosavant.net – All Rights Reserved

By Chris Haak

06.27.2008

Note: Part 2 of this article, from H through M, can be found here.
Part 3 of this article, from N through V, can be found here.

Although some of the most intriguing new models will be introduced a year from now, for the 2010 model year (i.e., Chevy Volt, third generation Toyota Prius, Acura NSX), there are still some really interesting vehicles hitting the market right now and in the coming months. Below is a brand-by-brand overview of the most significant new vehicles that we can expect to see in the new car market for the 2009 model year. Due to the gigantic size of the market, we will pay closest attention to all-new or significantly changed vehicles. Also, because I doubt that any Aston Martin or Ferrari buyers are doing their research on this site, I’ll ignore those lineups.

Acura
The 2009 model year came a bit early for Acura this year, with both its new TSX and warmed-over RL sedans making their auto show debuts in the spring, and hitting dealers this summer.

The 2009 TSX is, as are most new models, slightly larger and heavier than the vehicle it replaces. The simple, attractive lines of the old TSX have been replaced with Acura’s controversial “shield” grille, bulging fenders, and some curious angles. The interior materials have allegedly been upgraded, and more technology has been added to the car. Power comes from a 2.4 liter four cylinder rated at 201 horsepower, coupled to either a five-speed automatic or a six-speed manual.

The 2009 RL is an update of the existing car, with the new Acura family grille, enhanced technology, increased engine power, and some creative seat-shaping to increase rear seat passenger space, which has been a criticism of the current model. The RL, as Acura’s flagship sedan (and, incidentally, a car that should rightfully have never lost the Legend name) also was criticized for being a V6 powered flagship. Honda naturally hasn’t added a V8, but did bump up the displacement from 3.5 to 3.7 liters, and horsepower goes up to an even 300.

The 2009 Acura TL will be an all-new car, introduced later this year. Although it hasn’t been revealed to the public yet, several decent-quality spy photos have shown a car that appears to be larger than the current model, and again incorporating the sheild grille. Power will be upgraded, of course, with the top engine likely to be a variant of the RL’s 3.7 liter V6. All wheel drive is also likely. While I prefer to give the benefit of the doubt to vehicles I’ve only seen in spy photos, Acura’s recent styling direction leaves me a bit pessimistic about the TL’s looks. The 2009 TL certainly has some big shoes to fill, because in my opinion, the 2004-2008 TL is the best looking vehicle Acura has ever sold.

Audi
The larger, wider, more powerful trend continues at Audi, where the all-new 2009 A4 compact luxury sedan makes its US debut later this year. The car, which is already on sale in Europe, has A5/S5-type headlights (with a ring of LED daytime running lights underneath the headlights themselves). The initial engine available in the US will be the direct injection 3.2 liter V6, to be followed later by a new 2.0 liter turbocharged direct injection four cylinder that will supposedly match the power and torque of some V6s, while returning superior fuel economy.

The new Q5 small SUV will also make its US debut for the 2009 model year. The little brother of the Touareg/Cayenne-based Q7 looks like a cross between the Q7 and an A4 Avant (wagon). It will come with only a 270 horsepower 3.2 liter V6 when launched in the US next spring.

BMW
BMW has been busy filling as many niches of the luxury market as it could find, and even inventing a few that didn’t exist before. One member of the class of one – that is, the class of four door coupe SUVs – is the new X6. If only the name were as simple as “X6,” however – its full name is X6 xDrive35i or X6 xDrive50i, depending on whether it has the 3.0 liter twin turbo inline six, or a new 407-horsepower twin turbo V8. The new V8 will find its way throughout several vehicles in the BMW lineup in the next few years; a likely early recipient of it will be the upcoming all-new 7 series.

Other big news at BMW is the availability of 50 state-legal turbodiesel six cylinder engines in both the 3-series and X5. This sophisticated engine produces 265 horsepower and over 400 lb-ft of torque. Performance should be on par with the expectations of BMW owners, although I’m sure that the extreme low-end torque and lack of revving will be a very different experience for them.

Cadillac
The 2008 model year was a big one for Cadillac, as its volume sedan, the CTS, hit the market. The car has been a critical and sales success, and later this year, we should see a wagon version (with half of its production scheduled for export to Europe) as well as a production version of the CTS coupe concept displayed in January 2008 at the Detroit Auto Show. Other big CTS news for 2009 is the release of the 2009 CTS-V, which packs a detuned version of the 2009 ZR1’s 6.2 liter supercharged V8. In the CTS-V, the engine is rated at 556 horsepower (versus 638 in the ZR1), but the CTS-V has proven to be an absolute rocket in performance figures released by GM, with a quarter mile time of 12 seconds flat. Pricing hasn’t been announced for the V yet, but expect the most powerful engine of the Cadillac V-series to start around $60,000, which – if true – is a heck of a deal considering the performance relative to the M5 and E63, plus the fact that the similarly-powered ZR1 starts at $105,000.

Chevrolet
GM’s volume brand sees two significant introductions for the 2009 model year. First is the Corvette ZR1, which (as mentioned above) packs a 638 horsepower 6.2 liter supercharged LS9 V8 under its hood. Zero to sixty arrives in a conservative 3.4 seconds, quarter mile times are in the low-11s, and top speed exceeds 200 miles per hour. The price exceeds $100,000 as well – $105,000 to be precise, including destination and the mandatory $1,700 gas guzzler tax.

The second introduction for Chevy this year, the Traverse large crossover, should sell in much larger volumes than the ZR1 (which will be limited to 2,000 units in its first year, by the way). The Traverse is basically an Enclave/Acadia/Outlook with a different front end, different interior, and a different D-pillar treatment. However, the Lambda crossovers (that’s the name of the platform on which the Lambda and its cousins are based) can handle fairly well for large vehicles, and are comfortable and quiet inside. GM also promises best-in-class fuel economy with a direct injected version of the 3.6 liter V6, coupled with a six-speed automatic.

Chrysler
The big news at Chrysler is the launch of the company’s first hybrid, which will be found in the Aspen full-size SUV. Interestingly, Aspen sales haven’t done too badly this year, in spite of enormous headwinds in its segment. The two mode hybrid was co-developed with GM and BMW, so is a version of the system that can be found in the Tahoe and Yukon Hybrids, except that it obviously features Chrysler’s HEMI V8 instead of GM’s small block V8. Chrysler announced a few weeks ago that Durango and Aspen Hybrid pricing will undercut their GM competition by up to $8,000.

Dodge
The Dodge Durango Hybrid has the same powertrain that the aforementioned Aspen Hybrid has, and also makes its debut for the 2009 model year. Along with the Durango Hybrid news, 2009 marks the filling out of the Challenger lineup with the V6 powered SE and 5.7 liter HEMI V8-powered R/T models to accompany the fire-breathing SRT8 that kicked off the Challenger’s return to the streets for the 2008 model year.

The other big news at Dodge is the launch of the all-new Ram pickup. I’ve seen it in person, and it has a hugely improved interior, lots of interior storage, a cleaner shape, better fuel economy, more power and torque, and some innovative features such as locking bedside compartments. Another innovative feature for the new Ram is four-wheel coil spring suspension, which is unique to the pickup market, and should improve unladen ride and handling relative to the competition. Dodge desperately needed to add both refinement and fuel economy to their flagship pickup, and it appears that they have done so for 2009.

Ford
Ford has two very important launches for the 2009 model year. One launch – the Flex large crossover – has already begun, if the three models sitting in front of my local dealer are any indication. The Flex is intended as Ford’s non-stodgy minivan replacement, very similar to how the Traverse is Chevy’s non-stodgy minivan replacement. While the Traverse doesn’t break any new styling ground, the Flex’s intentional boxiness prove that Ford was willing to take some styling risks on a very important vehicle. It’s certainly a shape that has grown on me over time; when the production model was first shown, I thought it would be a flop in the market, but now I can appreciate it for what it is: basically a cross between a Mini Cooper and an old-school station wagon. I give the Flex credit not only for being honest about what it is (not pretending to be ready to tackle the Rubicon trail), and for an interior that, according to early reviews, is of very high quality and packed with innovative features such as a built-in refrigerator with its own compressor, SYNC, and a vista roof. Power comes from a 262-horsepower 3.5 liter V6.

The other critical launch for Ford has already been delayed by two months because of ballooning inventories of the old 2008 models: the [strike]bestselling[/strike] F-150 pickup. Like its crosstown rival the Dodge Ram, the new F-150 features a stronger, lighter frame, a nicer and more spacious interior, and improved fuel economy. Ford also added a new Platinum trim level above Limited, which will feature a leather-wrapped dashboard; the Platinum will basically replace the Lincoln Mark LT pickup in Ford’s overall lineup, and actually has a nicer interior than the Lincoln cousin to the old F-150 had.

Part 2 – from H (Honda) through M (Mitsubishi) can be found here.
Part 3 – from N (Nissan) through V (Volvo) can be found here.

COPYRIGHT Autosavant.net – All Rights Reserved

By Andy Bannister

06.26.2008

Since the invention of the motor car more than a century ago, it has changed the lives of millions, mostly for the better. Just occasionally, though, a car has itself been the centre-piece of a great historical cataclysm.

I’ve recently returned from Sarajevo, the capital of the small Balkan state of Bosnia-Herzegovina, where possibly the most notorious example of this took place on a sunny day some 94 years ago, 28 June 1914. On what’s now a quiet and unremarkable street corner a Gräf & Stift Double Phaeton car secured its notoriety when the gruesome murder of its royal occupants triggered the events of the First World War.

Gräf & Stift, now largely-forgotten, was an Austrian automaker founded in 1902 by the brothers Franz, Heinrich and Karl Gräf and the investor, Wilhelm Stift. Their company, based in Vienna, was a renowned manufacturer of luxury vehicles, an equivalent of Britain’s Rolls-Royce.

It was natural, then, that when the heir to the Imperial throne of Austria-Hungary, Archduke Franz Ferdinand, paid a visit to Austria’s recently-acquired province of Bosnia, a local dignitary, Count von Harrach, should lend the Archduke and his wife an open 1910-model Gräf & Stift for what was supposed to be a triumphal parade before the local population of this ethnically diverse city.

The visit itself was ill-starred. Franz Ferdinand was an unpopular figure in the empire, and the tour of the city was scheduled on a particularly inappropriate date – St Vitus’ Day, the anniversary of a famous defeat of the medieval Serbian army by the Turks in 1389 at the Battle of Kosovo. This was – and is – a day of almost mystical significance to Serbian nationalists who in 1914 wanted to detach Bosnia from the empire and unite the province’s inhabitants with their Slav brothers in independent Serbia.

In sheer foolhardiness its equivalent can be imagined if another contemporary figure, King George V of England, had decided to parade through the unguarded streets of Dublin in an open car on St Patrick’s Day. In Sarajevo the local police were ill-trained and unprepared, the security measures were slapdash, and the Archduke and his wife, Sophie, were sitting targets driving slowly through the narrow streets of Sarajevo.

Inevitably, despite a remarkably amateurish performance by a posse of conspirators (who let numerous opportunities pass, culminating in one of them throwing a bomb which missed the royal car) the Archduke ultimately met his destiny. Confusion over the route on the day meant the big Gräf & Stift took a wrong turn and ground to a halt in front of a crowd containing by chance the most determined of the would-be assassins, a young Bosnian Serb called Gavrilo Princip, armed with a pistol. At point-blank range Franz Ferdinand and Sophie were both literally sitting targets and died within minutes of each other as the horrified spectators looked on.

Historians talk of the Balkans as a “powder keg” and the murder lit the fuse that set the great alliances of Europe at war with each other. Austria and Germany lined up against Russia, France, Britain and Serbia in a conflict in which umpteen million soldiers and civilians would perish.

The car in which this happened is nowadays on display in Vienna, and has itself given rise to various conspiracy theories about it being cursed. Over a long period of years it was involved in a number of accidents and several owners apparently met grisly deaths in it.

Sarajevo has no major relics of the fateful day except some grainy old photos and newsreels, but it houses a rather sad little museum about the murders, outside which is a plaque marking the spot where Princip stood. Under post-war Yugoslav rule he was celebrated for decades in Sarajevo as “the liberator”, but more recent events cast a different shadow over the city, which today makes little of its pivotal place in history.

The murder itself also sounded the death knell for Austria-Hungary, a country of numerous nationalities which simply fell apart with the fall of its monarchy in 1918. Equally, the Gräf & Stift company and its cars hardly benefited from its association with this most notorious of assassinations.

By the 1920s a severely truncated Austria was an impoverished and bitter republic and hardly the place for a major luxury car manufacturer to prosper. The company’s royal patrons had fled into exile, sounding the doom of the wealthy aristocratic court.

Despite this, in 1920 car production resumed with a mid-range model, followed by a family of large six-cylinder models available through the 1920s and early 1930s, which sold steadily in central Europe.

Refusing to be deterred by the gloomy world economic outlook, in 1930 the company presented its first eight-cylinder car, the sumptuous Sp 8, followed later by the Sp 9. Agreements with Ford and Citroën, meanwhile, unsuccessfully attempted to keep the volume production side of the company going, although by that stage it was playing second fiddle to the more lucrative areas of truck, bus and tram body manufacture.

By 1938, on the eve of another catastrophic war, the proud era of luxury cars was over forever. Since then the company continued to manufacture trucks and buses under its own name until the 1970s, eventually being absorbed by Germany’s MAN truck company.

Today, Sarajevo is an attractive and friendly little city, its delicate minarets and its Turkish and Austrian civic architecture mostly repaired and restored after the bloody siege in the early 1990s. I can heartily recommend a visit there and to the rest of Bosnia-Herzegovina, which is one of Europe’s least discovered travel destinations.

COPYRIGHT Autosavant.net – All Rights Reserved

By Chris Haak

06.26.2008

Although it obviously hasn’t come to fruition, BusinessWeek reported this week that some GM executives have thought out loud about the possibility of a merger at Ford. According to BW’s sources, GM’s management’s consensus was that such a huge merger, even if it could pass muster and be approved by both companies’ shareholders as well as the government, would be a huge distraction to GM, who literally needs to focus every ounce of its energy on surviving the next two or three years.

If such a merger ever happened – and I’d consider it unlikely for many reasons – it might solve some problems such as reducing overhead costs and allowing the combined entity to share a dwindling cash pile to sustain the downturn in the US auto market until it recovers. However, it would create so many more problems, such as a proliferation of brands (GM already has too many brands; would adding 50% more brands do anything other the further divert resources from the core products?), redundant products, excess/unused factory capacity, and a lineup that’s far larger, but still doesn’t match the current buyer’s wants or needs.

Although GM hasn’t publicly even confirmed that the discussions/mention took place, it’s safe to say that many GM fans and Ford fans are a bit freaked out at even the prospect of their favorite company joining the “enemy.” I mean, will the Calvin peeing on the other guys’ logo stickers have much meaning if Ford and Chevy trucks are owned by the same company? That would be like a Chevy owner having a picture of Calvin peeing on a GMC logo.

More worrisome, however, is the knowledge that brands would absolutely need to be eliminated; Buick and Lincoln are basically serving the same segment; Ford and Chevy have a lot of overlap; Mercury and Ford already overlap; Pontiac and GMC lineups both consist almost solely of rebadged Chevrolets so are redundant. We’ve seen a perfect case study for what happens to market share when a brand is eliminated – that market share disappears. Just ask GM how many Oldsmobile customers it retained; the answer is almost zero. Buicks and Chevys may have looked nearly the same, and been the same under the skin, but Olds people didn’t want to buy Buicks – they wanted Oldsmobiles. Instead, they traded their Cutlass Ciera/Calais/Supreme/etc. on a Camry, saw that it was a good, reliable car, and they are now out of the GM fold, and GM’s market share is lower than it’s been in decades.

What had been unimaginable just a year or two ago seems to be an ever more likely scenario as panic sets in among the Detroit Three. Just as the last of the independent manufacturers such as AMC merged rather than just closing up shop, absent a dramatic turnaround in the next twelve months, we’ll probably see something similar from GM, Ford, or Chrysler. Some would argue that the beginning of the end of the US auto industry happened in the 1970s, but I’m talking about the actual death of the industry as the endpoint, not the events that eventually got us close to it. However, I really believe that when we see GM and Ford, GM and Chrysler, Ford and Chrysler, or any of the three and a foreign manufacturer merging, it truly will be the beginning of the end of our domestic auto industry. I hope for the sake of millions of workers, not to mention our national economy, that we don’t get to that point.

COPYRIGHT Autosavant.net – All Rights Reserved